More fit for the future - Nilorn Sustainability Report 2018

More fit for the future SUSTAINABILITY REPORT - 2018 NILORN

table of Contents

MICROPLASTIC The wrong things are entering our food chains.

Researchers have made us realise that microplastic, shed from packaging, carpeting, clothing and other plastic-based items risk finding their way into marine and fresh water species. This of course puts a chal-

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Words from our CEO

lenge on all businesses using plastic materials, even

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About Nilorn

with sustainable materials on page 16.

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Sustainability at Nilorn

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Sustainable Development Goals

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German Design Award

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Key focus areas

the increasingly pressing issue of water scarcity.

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Clients

water management. Read more about our co-

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Reduce - Recycle - Rethink

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Security and Anti-Counterfeit

those that are recycled. Read more about our work

WATER Closely linked to the issue of climate change, is A lot of water can be saved through improved operation with Cotton Made in Africa on page 38.

20 Production and energy

EVERYONE’S LIFE GOALS

22 Supply chain

Through the UN, countries around the world have

24 Logistics and transportation

united in formulating goals for a better future.

24 Waste and water management

on a global scale, being adapted by authorities,

25 Responsible use of chemicals

Nilorn we have mapped both our impacts and opp-

26 Insight: Packaging

more about how we address the goals on page 8.

The 17 goals have successfully started to spread ­businesses, other organisations and individuals. At ortunities related to the goals and the targets. Read

28 Employees 32 Villa Nilorn, Belgium

ABOUT THIS REPORT

34 Traceability for sustainability

This is Nilorn’s statutory sustainability report for

38 Social engagement

2018, prepared in accordance with the requirements in the Swedish Annual Accounts Act. It covers all of the

40 Stakeholders and initiatives

Nilorn operations, unless otherwise stated, in relation to the reporting of specific indicators from our sites.

43 Sustainability risks

The report has been submitted by the Board of Directors, together with the Annual Report. The Annual

44 Our way forward

Report can be found at our corporate website.

46 Data summary

We strive to live up to our stakeholders’ expectations.

Comments, suggestions and critiques on our sustainability practices and reporting are welcome. Please contact us at csr@nilorn.com

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Passion for all that we deliver All work and all achievements at Nilorn are a collective effort, based on our passion for

what we do. We work hard to take care of each other and ensure that our workplaces enable people to grow, in their knowledge, skills and as people.

We are equally passionate in our contribution to a more sustainable supply chain for our clients. In the last year we have seen many great examples of where that passion can take

us. We have intensified our product development, introducing woven labels in Tencel,

and we have also seen an increased use of recycled materials in our products such as recycled polyester. To know what type of materials are the most sustainable is of course a

challenge as we learn more things about the life cycle of materials and as new m ­ aterials

are developed and refined. Therefore, in 2018 we joined MinShed, a project aimed at ­increasing the awareness around textile materials and specifically around the issue of synthetic fibres and microplastics.

We continue to focus on responsible production and supply chain including visits, audits

and certifications of our production sites, as environmental and social labels help us build trust. Our newest site in Dhaka has increased its production in 2018 and is now both OEKO-TEX and FSC certified.

2018 was the year where climate change was higher than ever before on our clients and

other stakeholders’ agendas. To understand and address the impacts along the life cycle of varied materials is, of course, a bit of a puzzle that we need to solve together with our

clients and suppliers. Every piece of that puzzle matters. We now have a new d ­ istribution centre in Germany, serving the majority of our distribution in ­Europe, enabling us to work more efficiently with transport. In 2019 we will ­focus on identifying transport impacts, increase our focus on ­alternative ways to meet to minimise business travel and we are investing in solar panels to supply our site in Portugal with renewable energy.

What we do, how we behave, matters more than ever.

Claes af Wetterstedt CEO Nilörngruppen AB

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VISION:

To be the best label and branding company worldwide 2

LEG STRAIGHT LOW WAIST

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About Nilorn Nilorn is an international company, established in 1977,

which is focused on adding value to its clients’ products by presenting branding and design in the form of labels,

packaging, trims and accessories. We offer complete, creative

and tailor-made concepts in the areas of branding, design, product development and logistic solutions.

Nilorn’s head office is located in Borås, Sweden, and our clients are principally from the ready-to-wear fashion sector.

We have a production network of both own units and external partners.

BUSINESS CONCEPT Nilorn’s mission is to design, manufacture and sell labels and

label programmes in order to assist clients in the fashion and textile industry to strengthen their brand presence in

international markets. Nilorn’s mission can be summarised as “Adding value to your brand”.

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Governance

O U R C O M M I T M E NT

As a globally operating company we

Sustainability at Nilorn

­recognise our responsibility to respect international standards and practices.

We have developed a number of internal policies to support our vision and values.

For the past 30 years, we have been supplying our ­clients with customised high-quality designed labels and other

HUMAN RIGHTS POLICY

brand-strengthening products and services. ­Attention to sustainability aspects is part of our standards and

We seek to play an active role in the promotion of

­policies, and applies to our products, our production and

Human Rights and to work proactively to respect the rights that all people are entitled to basic rights

­supply chain and in our interaction with each o­ ther and

and freedoms, regardless of nationality, gender,

our ­stakeholders. We acknowledge our clients’ ­challenge

­religion, race or any other status. Nilorn aims to

to secure a supply chain that both avoids and addresses the

­avoid causing or contributing to adverse human

potential negative impacts on people and the ­environment.

rights impacts in areas which we can directly i­nfluence, through our management control and

We want to strengthen our client’s image and their

addressing such impacts if they occur. Wherever

­products via sustainable solutions in labels, packaging

possible, we also strive to identify, prevent or miti-

and accessories.

gate adverse indirect human rights impacts that may be linked to our operations, products and services through business relationships.

Sustainability at Nilorn means working towards meeting

the needs of people and society without compromising

Nilorn’s approach to human rights is based on

­interests of many people - all in line with the UN ­Sustainable

Rights and the “Protect, Respect and Remedy”

UN Guiding Principles on Businesses and Human

the needs of future generations – acting in the long-term

framework. The Human Rights policy applies

­Development Goals. It means adapting to the l­imitations

to all Nilorn employees. It also applies, as far

of the planet and protecting the environment. It means

as ­reasonably achievable, to our upstream and

­promoting a strong, healthy, inclusive and fair society where

downstream supply chain through suppliers and

people can prosper and fulfil their potential. Nilorn believes

business partners.

in taking a holistic approach - including the entire design, manufacturing and supply chain.

Nilorn’s CSR and Sustainability Advisory Team (CSAT)

CORPORATE RESPONSIBILITY AND SUSTAINABILITY POLICY

was established in 2018. The aim of the group is to further ­integrate CSR and sustainability in the daily operations of

the organisation, to spread knowledge and share ­experience.

Based on our commitment to sustainability this

­representing the design department, product development,

social, environmental and ethical responsibility and

policy aims to set the base for how we work with

The team consists of staff from different Nilorn offices,

covers all Nilorn employees.

production, purchasing, sales and CSR.

The Sustainability Manager is located at our Head Office and in Nilorn East Asia we have our Supply, Sourcing and

CSR Manager, which enables us to have a closer ­relationship

CODE OF ETHICS AND BUSINESS CONDUCT

­sourcing countries we coordinate Nilorn’s sustainability work.

This code provides a guide to the values, behaviours

to suppliers in that region. Together with local staff in our

and ways of working for all Nilorn employees, it shall guide our daily work and cover areas such as compliance with law, respect in the workplace, protection of company property, professionalism, corruption, job duties, teamwork and communication.

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GLOBAL COMPACT

CODE OF CONDUCT

Since January 2017, Nilorn is signatory to the UN Global

Our Supplier Code of Conduct serves as a

Compact corporate responsibility initiative. As a signatory, we

common foundation for us and our suppliers in

voluntarily agree to align our operations and strategies with

terms of a­ cting in a responsible manner, including

UNGC 10 universally accepted principles in the areas of hu-

focusing on social responsibility and good working

man rights, labour, the environment and anti-corruption, as part

conditions. Companies applying this code are

of our strategy, culture and day-to-day operations.

also e ­ xpected to comply with national and other ­applicable law and not be involved in any act of ­corruption, extortion or embezzlement, nor in any form of bribery. Read more about our work to ­implement the Code of Conduct on page 22.

ANTI-CORRUPTION POLICY Our Anti-corruption Policy contains the organisation’s mandatory rules and restrictions regarding gifts and other kind of appreciations. It also describes the procedures for employees to raise any ethical questions or to report any breaches or suspected breaches of the company’s code of conduct. Read more about our work to implement business ethics on page 30.

HUMAN RESOURCE POLICY Our Human Resource Policy regulates what the company expects of its employees and what employees expect of the company. The HR policy mainly regulates: management responsibility for developing its staff, information supplied to all employees, annual performance reviews, payments and IT usage. The overall objective is that work on gender equality should be a natural and integral part of all our activities and it applies to all staff and levels. Read more about our work to implement business ethics on page 30.

ANIMAL WELFARE POLICY As a supplier of labels and branding products made from materials sometimes derived from animal origin, we recognise our responsibility to protect animal welfare.

Nilorn works to secure materials from responsible sources and with respect for animal welfare. All suppliers or companies subscribing to this policy must follow national and international legislation regarding animal welfare. Animal-based materials are only obtained as a by-product and not the sole purpose of the slaughter of an animal and never from vulnerable or endangered species.

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The UN Sustainable Development Goals We deliver our products to more than 65 countries around the world and are thus part of far reaching value chains. We feel that such a global presence calls for global responsible actions. Since 2017, Nilorn have been signatories to the UN Global Compact.

The Ten Principles of the UN Global Compact defines the foundation on which our business must stand.

At the initiative of the UN, the international community

partnership and co-operation is needed to ­achieve the goals.

Goals (SDGs) in 2015, aiming to eradicate poverty and

work we must co-operate and rely on the ­effort of many other

­formulated and adopted 17 global Sustainable ­Development

Nilorn is a small global organisation and in our sustainability

­malnutrition and to ensure a truly sustainable development

organisations, including labels and ­certifications. Example of

across the social, environmental and economic dimensions.

co-operations are FSC (read more on page 37), ­Cotton made in

We are committed to minimising the way our business could,

Africa and the Swerea Chemical group.

in any way, slow the transition towards the future envisioned in those goals. Our updated sustainability strategy aims to

In 2017, we carried out analysis where we looked into the

where we can contribute positively.

­relation to the sustainable development goals and their targets.

support the UN Goals and focus even further on those areas

challenges and opportunities the fashion industry is facing in We have researched how brands have ­investigated and com-

With the launch of the SDGs, businesses are explicitly c­ alled to

municated their most material challenges and o ­ pportunities.

contribute to the global sustainability agenda. The ­achievement

Based on that and following a mapping of the issues of utmost

of the goals depends upon the collaboration of many different

priority for our own business, we have found that five of the

actors, including our business. A stronger c­ ommitment to

goals and their sub-targets are of p ­ articular relevance.

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GOALS WHERE WE DIRECTLY, TO A LARGE EXTENT, IMPACT:

Clean water and sanitation GEMENT OF WATER AND SANITATION FOR ALL

Decent work and economic growth

One target under this development goal is to i­mprove

BLE ECONOMIC GROWTH, FULL AND PRODUCTIVE

ENSURE AVAILABILITY AND S ­ USTAINABLE MANA-

PROMOTE SUSTAINED, INCLUSIVE AND SUSTAINA-

­water quality by reducing pollution, eliminating ­dumping

EMPLOYMENT AND DECENT WORK FOR ALL

and minimising release of hazardous ­ chemicals and ­materials. In our supply chain we can work with w ­ ater

We commit ourselves to implement social standards, such

require water and ensuring proper waste water ­treatment.

supply chain. There is a screening of new suppliers and we

the conditions further upstream, such as through our

and occupational health and safety management s­ ystems,

­issues directly by being more efficient in the ­processes that

as living wages and decent working conditions in our

We also engage indirectly in projects aiming at improving

encourage our suppliers to adopt quality, ­environmental

­engagement with MinShed and Cotton made in Africa.

certifications and include certification schemes used by suppliers in our criteria for choice of suppliers.

Responsible consumption and production ENSURE SUSTAINABLE CONSUMPTION AND PRODUCTION PATTERNS One target for this development goal is to substantially reduce waste generation through prevention, reduction,

Climate action

recycling and re-use. At Nilorn we have adopted ­policies to choose more environmentally friendly materials,

­increasing the use of recycled materials and acting for a

TAKE URGENT ACTION TO COMBAT CLIMATE CHANGE AND ITS IMPACTS

sound management of chemicals. Nilorn has joined the

Climate change is one of the most pressing environmental

focus and strive to protect health and the environment

bluesign® system to put the whole production chain in

issues of our time and it is a global challenge that does

across the entire chain of production.

not respect national borders. Here the issues are clearly

linked to more circular use of materials and this we see an increased interest in from both clients and the s­ upply

Partnerships for the goals

chain. We measure the impact of business travel and

­energy consumption and will increase our use of energy from renewable sources. We must also be aware of the risk of climate change affecting our supply chain located in

areas likely to be affected and see how we can be involved

STRENGTHEN THE MEANS OF IMPLEMENTATION AND

in adaptation.

REVITALIZE THE GLOBAL PARTNERSHIP FOR SUSTAINABLE DEVELOPMENT The achievement of the global SDGs depends upon the

­collaboration of many different actors, including ­businesses.

As a small but global player Nilorn has to c­ o-operate with

others and participate in business ­initiatives - for example

MinShed and The Hong Kong Business-School Partnership Programme (read more on page 40).

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German Design Award It may only be a small jeans patch, but it has just been

­companies and designers. The Jury stated: ‘Not only does the

­sustainable denim concept ‘Genes’ has been awarded with the

also feel astonishingly authentic to the touch.’ This ­prize is a

­honoured with a great award. The product from Nilorn’s

felt and ­imitation leather both look like the real thing – they

German Design Award Special Mention 2019 by the ­German

big ­honour for Nilorn as it recognises the high d ­ esign quality

Design Council. The patch is primarily made of r­ ecycled PET

of Nilorn’s concept collections.

felt - combined with a small part in grained Jacron – a rather unusual material choice for branding a pair of jeans.

CHRISTINA WALTER, DESIGNER NILORN GERMANY

The German Design Awards, launched in 2012, are among

“I have high hopes for the future.

the most prestigious design competitions worldwide and have an excellent reputation far beyond specialist circles.

I believe in a circular economy based

prize winners: thanks to the unique nomination process,

on the cradle to cradle concept where

The competition sets the highest standards for selecting the

only those products and communication design projects

safe materials - natural or synthetic

­eligible to participate.

- are intelligently cycled and manu-

that d ­ emonstrably exemplify outstanding design quality are ‘Special Mention’ awards are given to works with ­designs

factured in ways that positively

­solutions – these prizes acknowledge the commitment of

impact people and planet”

that feature particularly successful partial aspects or

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TOWARDS A SUSTAINABLE VALUE CHAIN

Ensuring that the ambitions of the client and our own knowledge, result in products that have as low environmental impact as possible, to be resource-efficient. Product development is present locally, close to production. Access to our own manufacturing creates advantages for product development and sampling.

Making more detailed decisions on choice of materials to which factories to place orders etc.

We have an important role in giving our clients options to choose more sustainable solutions and consider end-of-life options. This is an area where we as a company have a really large impact. Nilorn has design teams in several countries, to work closely with the clients and to make the right choices early in the process.

The conditions under which the products are made, in terms of environmental performance of the factory, occupational health and safety and other labour ­conditions for the workers. As we have own production units together with production at external suppliers globally, implementing Code’s of Conduct and ­connected policies aim to improve standards for

the supplier, the workers and their families.

Discussing choice of materials and its ­implications on sustainability with our client. It is important to already highlight at this first stage the sustainability focus.

By working close to our client’s ­production s­ ites, we can minimise distances and t­ herefore transport emissions. As ­transportation is often decided by the client, we have less influence. We are focusing on degree of fill rate and joint loading to create cost-efficient transportation solutions.

Our products are a part of other products, so our key role in this area of the chain is to deliver a ­correct product promptly, in order to not cause delays, which in turn could have negative consequences both from an environmental and worker p ­ erspective.

The manufacturing of the clients’ products is an area where we at Nilorn have less impact.

Design for less waste and with more possibilities for re-use and recycling of the products. Also focusing on responsible waste handling in ­production, encouraging recycling of materials.

We can help our clients to reach out to the consumer with messages concerning labelling of products and, in general, help increase the transparency and traceability of products. This can also help the consumers to make more conscious choices.

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Key focus areas U P DATE D S U S TA I N A B I LI T Y S T R AT E GY

1 CLIENTS We want to develop sustainable products in close co-operation with our clients and together reduce their environmental impact.

The earlier issues are considered, the better the outcome.

KEY ISSUES HERE ARE: • Product development • Encourage and direct clients towards more sustainable materials and products • Communication

2 PRODUCTION AND SUPPLY CHAIN We will take responsibility for manufacturing ­products, in our own production as well as with external suppliers. We believe in close co-operation with our business partners.

KEY ISSUES HERE ARE: • Working environment and human rights • Chemical management • Waste • Energy • Transportation • Water

3 EMPLOYEES Our most important asset is our employees and we want to attract, retain and further develop those working within Nilorn.

KEY ISSUES HERE ARE: • Working environment • Competence • Ethics • Travel • Community engagement

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F O C US AR E A - C LI E N TS

Clients

Right track

The client, and end consumer, should feel secure in the use

Engaging with clients and gathering opin-

of Nilorn’s whole product range. Through close collaboration

ions about our company and our offer gives

and knowledge-sharing we continually improve, both our

us valuable information.

own and our client’s activities. Sustainable products, for us, implies finding better materials and once chosen and used,

OTTO GRUP

those materials should be kept in a recycling loop for as long

Our client Otto Group in Hamburg, Germany,

as possible. For us it is important to work to be genuinely

performed a survey in 2018 to evaluate the ­

better all round, not only from the product perspective.

­performance of the nominated OTTO label makers in the markets. The assessment covered areas such as quality of products, problem solving, payment

To be able to accompany our clients on their journey, we

terms, collaboration and lead times. We were very

are committed to reducing the environmental impact of

proud to find out that, overall, Nilorn showed the best

­everything we do - designing a product, choosing ­production

­performance, having the best score in five ­categories.

Both materials and mode of transportation are almost always

short ­delivery times. These assessments are a very

better alternatives is becoming more and more important

our offer of products and services. It also gives us the

processes, choosing a supplier, planning the logistics etc.

One topic highlighted was the increasing need of

decided by the client. Our role in guiding the client in finding

good tool for us in our continuous ­improvement of evidence that our hard work is clearly linked with our

and we see an increased interest from our clients in using

business performance.

either certified or recycled materials. We need to co-operate

to be able to progress making the business more sustainable.

VAUDE In June 2018 German brand Vaude arranged their first global vendor meeting at the Vaude ­headquarters in Tettnang- Obereisenbach. Close partnership was a theme and proves the importance of cooperation in the business to reach the high targets that the company has set. For Nilorn to be invited, it gave

DESIGNERS CHECKLIST

us a confirmation that our focus on sustainability is necessary to be part of these brand’s supply chains.

This checklist has been prepared by the Nilorn design department. To be used as a tool in new product developments.

• Does this product serve its purpose? Is it functional?

RESPEKT

• Could we use certified materials?

‘Respekt’ is a highlight of our work to develop

• Is the material suitable for this product?

­products with lower environmental impact. It shows

• Will it last long enough?

the ongoing process towards a more sustainable

• Can it be recycled?

­offer, from design to delivery. The RESPEKT c ­ oncept f eatures, environmental finishings and various ­

• It is able to have a second use?

­materials such as bamboo, vegetable tanned l­eather

• Will it age with beauty?

and FSC paper, along with recycled m ­ aterials. All

• Could it be reduced/minimalised/simplified?

­articles comply with REACH regulations or meet

• Can the design be optimised to reduce product waste?

higher environmental standards.

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F O C US AR E A - C LI E N TS

Reduce - Recycle - Rethink P RODUCT DEVE LOP M E NT W ITH AN E NVI RON M E NTAL P E R S P ECTIVE

Today, many people strive for a more circular behaviour to reduce litter and climate footprint - we also see this interest from many of our clients. To a greater extent using “more green” material is high on the agenda.

Reducing waste and unnecessary use of materials are f­ocus

was launched. The strategy presents key commitments for

wants a well-thought-out packaging solution, in ­sustainable

designed, produced, used and recycled. By 2030, all plastic

areas that have become more common in 2018. The consumer

action, including the way plastics and plastic products are

materials that can be re-used. We see many ­ possibilities

packaging placed on the EU market should be re-usable or

to ­ integrate better solutions for the ­ environment in the

recyclable. At Nilorn we develop products in both recycled

­products we deliver, but at the same time these ­options must

LDPE and also using bio-based raw materials to reduce the

be c­ arefully evaluated to make sure we are making sound

use of ­fossil-based materials.

decisions. The use of alternative materials is ­becoming increasingly important in terms of customers’ ­ ­ focus on

Today, re-use and recycling of end-of-life plastics is very

bility. In 2018 we saw requests for recycled ­polyester, buttons

­paper, glass or metals. Plastic packaging is a priority area

­sustainable materials and our own work on taking responsi-

low, particularly in comparison with other materials such as

made of corozo and vegan leather, to name a few.

when it comes to design for recyclability.

We see an increase from clients regarding a products

RECYCLING OF GARMENTS

brands and retailers, the market is global and there are

to increase the supply of raw materials. There are s­everal

­possibility to be recycled. One challenge is that for most

Fashion businesses agree with the need to improve r­ ecycling

many different options and recycling alternatives. There are

initiatives focusing on recycling of used textiles and ­

national as well as regional differences - it’s obvious that

­garments, one major challenge is that clothing often ­consists

more standardised and effective practices across the EU are

of diverse types of fibres and today requires mostly sorting

needed to make recycling easier.

manually, an expensive and time-consuming process.

­Testing of automatic sorting is ongoing and many believe

Recycling reduces the amount of waste that ends up in

that using RFID is a solution to the sorting problem and the

landfill sites, while cutting down on the amount of material

handling of textile materials could be more effective as the

needed from the natural environment. More than 270 million

information could easily be read. An RFID-system can be

tonnes of waste are recycled across the world each year.

adapted and allow sorting of textiles based on any g ­ iven set

of ­parameters. In the future this would also allow to store

information about chemical content - information that could

PLASTICS Action on Plastics was identified as a priority in the

be used by a material recycling company. Chemicals in used

­European Circular Economy Action Plan 2015 and in 2018

garments are a big challenge. We do not want to re-use

an European Strategy for Plastics in a Circular Economy

things when we do not know what it contains.

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MICROPLASTICS In recent years there has been large focus on the micro-sized particles of plastics - so called microplastics - and the number of negative consequences for humans and the natural ­ environment they have. Protecting the ­marine environment from the potential impact of microplastics is a critical issue.

Our products are often made of synthetic fibres such as polyester and polypropylene.

Synthetic fibres come off during washing and follow the water out of the washing machine. Most water treatment plants are not ­effectively filtering out these particles and they are passed on into our watercourses. We therefore joined the MinShed project to be able to contribute and learn.

MinShed is a three-year research project. The goal of the project is to create knowledge and guidelines which will help the textile industry to design and create clothes made of synthetic fabrics which do not emit microplastics. The project will also investigate how washing machines are designed and whether or not they can be equipped with a filter that can reduce the emissions of microplastics.

”MinShed spreads knowledge which helps push the textile industry forward”

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RFID – what is it?

RFID is short for Radio Frequency Identification. The technology is based on wireless communication, using electromagnetic fields for the transfer of data that is electronically stored on tags attached to a product. The electronically-stored information can be accessed by a reader when it is ­ operated within the range of the tag. RFID also ­allows ­communication between a brand and the end-user by use of an NFC (Near Field ­Communication) enabled smartphone.

In 2018, Stora Enso launched a new RFID tag ­technology called ECO™. The technology enables the RFID tags to be produced on a 100% ­fibre-based paper label, unlike traditional plastic tags, ­resulting in a lower carbon footprint. The ECO tag can be recycled in an environmentally-friendly way, ­together with paper and board materials.

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FO C U S AR E A - C LI E NTS

Security and Anti-Counterfeit P RODUCT DEVE LOP M E NT W ITH S ECU R IT Y P E R S P ECTIVE

Brands are proud of their product developments and, naturally, want to protect them. To support them, we produce and ­deliver a number of successful secure techniques. UV-yarn, UV-printed holographic yarn, holograms, sequential ­numbering, watermarks, QR-codes, Nilorn secure and radio frequencies are just some examples of methods that can be applied, to protect the clients’ products.

At Nilorn we had already started looking into RFID in 2010.

sales channels. RFID inlays and technologies can improve

However, it turned out that although there was an interest,

inventory management and product tracking solutions.

the market was not yet ready to embrace the technology. In

the last year we have seen a significant increase in client’s

We help our clients evaluate the suitability for them to

some global brands have now chosen to adopt RFID, articles

current tag applications. The are many possibilities, ranging

interested in evaluating the use of this technology. The fact that

integrate RFID as an alternative or complement to their

on the subject are increasingly appearing in different news

from RFID on hang tags to sewn-in tags combined with a

feeds and a greater understanding of the potential benefits

traditional care label. RFID also allows communication

of RFID, obviously contributes to the increased interest. Not

between a brand and the end-user by use of an NFC (Near

only can it be verified that the goods are brand originals, but

Field Communication) enabled smartphone. We recommend

RFID can give brands much better control of their flow of

our clients to begin with a small pilot project, followed by a

goods, which can increase sales as well as cut costs in their

gradual roll-out to full scale.

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F O C US AR E A - P R O D U CTI O N A N D S U P P LY C HA I N

Production and Supply Chain Nilorn is strategically located in major manufacturing countries around the world, enabling shorter delivery times, lower freight costs and reduced environmental impact. Most of our production is through external suppliers as it allows us to be flexible and adapt to our clients’ locations. Our own production is an important complement. With this combined approach, we can ensure timely deliveries and high quality.

PRODUCTION

NILORN HAS ITS OWN PRODUCTION SITES IN:

Sourcing in Asia mainly comes from Hong Kong, China and

• Bangladesh

India. Most of our European sourcing is from Turkey and

• England

Italy. As a complement to the sourcing activity, Nilorn’s own

• Germany

production facilities represented approx. 20% of the group

• Hong Kong

turnover in 2018.

• Portugal • Turkey

Energy Our scope of commitment has grown, and we are aiming to

This has been done at several of our Nilorn p ­ roduction units

­reduce the overall energy consumption of Nilorn’s o ­ perations,

and will continue. LED lighting ensures a similar l­evel of

with a particular focus on the reduced use of ­energy ­sourced

light and a much longer life than standard ­lighting. Nilorn’s

or derived from fossil fuels. In the E ­ uropean D ­ istribution

­operations are located in several different countries and as

­Portugal factory we are now using energy from ­hydropower.

diverse and wide-ranging for electricity c­ onsumption and

­Center in Germany, our Swedish office and the Nilorn

­there are differences in emissions between countries, ­especially

Approximately 30% of our total ­energy ­consumption ­comes

­travel, we have used local emission factors where possibly

from renewable sources, and we ­ continue to investigate

(Defra/DECC).

­options to increase with the goal to reach 100% by 2021.

• Energy consumption 1040 tonne CO2e

One way to reduce environmental impact in our own

­production is to replace standard lighting with LED lighting.

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Investing in renewable energy We work to enhance energy efficiency and increase the use of renewable energy. The factory in Nilorn Portugal is since July 2018 using 100% renewable energy from hydro power and now taking further steps and installing solar panels.

Logistics warehouses and production units are usually

­starching machine, resulting in a considerable reduction of

well suited for the installation of solar panels, as they are

energy ­consumption. Reducing energy use also helps us to

­equipped with large flat roofs upon which solar panels can

save costs.

easily be ­ installed without imposing aesthetic damage to

ELISABETH SAMPAIO, MANAGING DIRECTOR NILORN PORTUGAL

local ­ ­ communities. Nilorn Portugal, the production unit

“Reduction of our environmental footprint is important to Nilorn P ­ ortugal, we want to grow without harming the environment, and the usage of ­renewable energy is important to us“

within the Nilorn group that uses the most energy, will install 460 solar panels at the beginning of 2019.

Increasing the use of renewable energy is one of Nilorn’s

actions to lower its environmental impact and reduce CO2

emissions. Nilorn Portugal has also invested in a new

21

2

F O C US AR E A - P R O D U CTI O N A N D S U P P LY C HA I N

Responsible supply chain management Companies today are getting called upon from stakeholders to take responsible action in various areas, especially in the supply chain. Nilorn is no exception. We conduct a variety of CSR-related activities and, through our supply chain, urge suppliers to do the same, with the goal of a fully compliant supply chain and achieving sustainability in society.

Monitoring suppliers across a nationwide or global supply

conventions of the International Labour Organisation (ILO)

chain can be difficult, but we aim to ensure that our ­suppliers

and is an internationally recognised code of labour practice.

protect human rights and provide safe workplaces. We have

a ‘Nilorn New Vendor Guideline’ that shall be followed

The ETI Base Code is built around nine Principles.

when introducing new suppliers.

• Employment is freely chosen

• Freedom of association and the right to collective

New suppliers to Nilorn are to be reviewed by the CSR

bargaining are respected

­department. The first assessment includes looking at

• Working conditions are safe and hygienic

­previously, as well as other areas such as their production

• Living wages are paid

­social audits that the factory may have been subjected to

• Child labour shall not be used

capacity and quality of products. A supplier is preferably

• Working hours are not excessive

­visited prior to production. Contractual agreements are

• No discrimination is practiced

made with ­suppliers including their commitment to abide

• Regular employment is provided

by Nilorn policies and guidelines, including:

• No harsh or inhumane treatment is allowed

• Supplier Code of Conduct

• Corporate Responsibility and Sustainability policy

We do our own inspections in combination with relying

• Environmental requirements for Nilorn suppliers

­initiatives. ISO 9001, ISO 14001 and OHSAS 18001 are also

• Animal welfare policy

on third party audits, through BSCI, SEDEX and other

• Nilorn supplier handbook

certification schemes used among suppliers, which we

• Nilorn agreement to supply according to RSL

take into ­consideration when choosing a supplier. Most ­importantly we focus on having a very close dialogue and

frequent meetings with all prioritised suppliers. In 2018 we

NILORN SUPPLIER CODE OF CONDUCT Nilorn’s Supplier Code of Conduct requirements are based

did not terminate any business relationship suppliers due to

on the ETI Base Code. The ETI Base Code is founded on the

non-compliances.

Our strategy is to work closer with selected suppliers –

‘­reduce to increase’ is a focus area. It is important for us to continue reducing our supply chain for greater ­control,

MODERN SLAVERY STATEMENT

­visibility, improved communication and buying power.

Modern slavery is a term that captures a range of human rights issues,

We seek to continue working with reliable, reputable,

including forced labour, bonded labour, human trafficking and child

environmentally and socially conscious suppliers. Whilst ­

slavery. The complexity of supply chains increases the likelihood of

­reducing our supply chain we also build on the relationships

modern slavery in the global industry. Since 2017, Nilorn publishes a

we hold with suppliers, some of which have been over 20

statement in line with the UK Modern Slavery Act 2015, detailing the

years. A stronger relationship equals a better partner.

steps we are taking to mitigate the risk of modern slavery ­occurring in the supply chain and business operations. The statement is published on the Nilorn website. It reflects our zero tolerance approach to modern slavery in any form and the different forms of modern slavery are covered by the focus areas of our supply chain audits.

22

2

FO C U S AR EA - P R O D U CT I O N AN D S U P P LY C H AI N

SEDEX Sedex, the Supplier Ethical Data Exchange, is a not-forprofit membership organisation dedicated to driving

TH E SE DEX G LOBAL PLATFOR M

­improvements in responsible and ethical business practices

is an online database which allows members to store, share and report information in four key areas:

in global supply chains.

Sedex is an online database, used by more than 50,000

­members in over 150 countries, which allows companies

to store and view data on ethical and responsible business practices. Members also have access to a range of resources and reports, including industry specific questionnaires and

market leading risk analysis tools, developed with global

LABOUR STANDARDS

HEALTH & SAFETY

includes topics e.g. wages, working hours, children and young employees, freedom of association, non-discrimination, forced labour and human rights

includes topics e.g. management, training, emergency and fire safety and worker health

risk experts Maplecroft. Sedex does not set any standards or

determine the policy of its members. Sedex provides a place to store any and all ethical audit reports, with a summary of non-compliances held in a common format.

ENVIRONMENT

BUSINESS ETHICS

includes topics e.g. environmental management, waste, raw materials, water, energy and pollution

includes topics e.g. bribery and corruption

Sedex has created the Sedex Members Ethical Trade ­Audit

(SMETA) – a common audit methodology and report ­format

AT NILORN, WE ARE AUDITED AGAINST

aiming to drive consistency of data from the auditing

SEDEX/SMETA IN OUR FACTORIES IN HONG

­process. SMETA is the world’s most commonly used ethical

KONG, BANGLADESH AND TURKEY

audit format. The audit checks specifically against the ETI base code and how it is spread to employees and the s­ upply

chain, relevant local laws, environmental ­ performance, ­subcontractors/home workers, eligibility to work and ­understanding of the ETI base code.

WHAT HAPPENS DURING A SMETA AUDIT?

For Nilorn, Sedex is a support in managing our complex

The normal process for a SMETA audit would follow these steps:

2018, we extended our membership to an A/B-member

2. Audit preparation and quotation to the sire

though our ­local production units. We believe that the Sedex

a. Opening meeting with senior management

supply chain and allows us to share data with clients. In

1. Self-Assessment Questionnaire (SAQ) and Pre-Audit Site Profile

(buyer/supplier), as we previously had memberships

3. Actual site visit and audit

­participation will reduce the need for numerous audits, both

b. Site tour

for our own and external production. As all social audits,

c. Document review

such as BSCI, SA8000 and ICTI, can be uploaded onto the

d. Worker interviews

Sedex platform, this will also reduce administration.

e. Closing meeting with senior management 4. Issuing of the the SMETA report and CAPR (Corrective Action Plan Report) 5. Loading up the SMETA / CAPR reports to the SEDEX data base 6. Follow up audits if required within 3-6 months time frames

23

2

F O C US AR E A - P R O D U CTI O N A N D S U P P LY C HA I N

Logistics and transportation The development of the fashion industry requires that

and check/control the delivery. The web order system is

our own companies and a network of strategic partners.

set of follow-up and report g ­ enerating ­options. We have

­Nilorn is represented in many parts of the world, through

available in several languages and offers a ­comprehensive

The Nilorn Auto Order System provides control and aims to

­warehouses in Dhaka, Hilden, Hong Kong, Istanbul,

save time for our clients. When a production order is sent to

­Karachi, Keighley, New Delhi, Recarei and ­Shanghai.

the ­manufacturer, Nilorn simultaneously ­receives a ­request

from the client’s system in a fully automated p ­ rocess and,

In 2019, we will map and look how to measure our own

handled within 48 hours. The Nilorn Web ­Solution provides a

­impact of transportation. We will also put emphasis on

­depending on location and stock levels, most orders are

­transportation of goods. This will help us to identify the

complete overview of orders, warehousing and ­distribution,

­including ­environmental aspects in the criteria used for

allowing both the client and manufacturer to order labels

­choosing transportation partners.

Waste and water management Being waste efficient is part of our sustainability strategy. We

for us to improve. We continue to promote waste minimisation,

are working towards the goal of zero waste going to landfill

re-use and recycling across our office and production locations.

by 2021 – an ambitious goal considering the international

­environment we operate in and the different waste streams and

In 2019 we will focus more on water - we aim to measure

to landfill, but still today 50% (80% in 2017) of waste generated

We are also including the water treatment plant at our Dhaka

handling today. In 2018 we achieved a reduction of waste sent

­water used in production and look at our global water usage.

by Nilorn operations goes to landfill - this is an ­important area

factory in an environmental screening process.

24

2

FO C U S AR EA - P R O D U CT I O N AN D S U P P LY C H AI N

Responsible use of chemicals Nilorn produces a variety of products in many different materials, at our six production sites and through e­ xternal

REACH

production. We conduct internal audits which include

REACH is a regulation of the European Union, adopted

checking the handling and storage of chemicals used in

to improve the protection of human health and the

­production. This is also a prioritised issue in the audits

environment from the risks that can be ­posed by

conducted at our suppliers’ sites.

chemicals, while enhancing the competitiveness of the EU chemicals industry. It also promotes alternative methods for the hazard assessment of substances in

Nilorn participates in the Chemicals Group at Swerea IVF.

order to reduce the number of tests on animals.

related to chemicals and their potential impacts on the

It is the responsibility of all manufacturers, importers

The Chemicals Group exists to disseminate the latest ­findings

and users of substances within the EU to ensure that the

­environment and human health, to its member ­companies.

substances they manufacture, import or use don’t pose

The chemical guidance developed by the initiative helps the

any risk to human health and ­environment. REACH

members to avoid importing products containing unwanted

affects all EU-actors that ­professionally manufacture,

substances. Nilorn RSL is based on the Chemicals Guidance

import, sell, buy, distribute or use chemicals as such

provided by The Textile Importers’ Association in Sweden

and in articles. If goods contain restricted chemicals,

and Swerea IVF. Bureau Veritas Certification Hong Kong is

it is mandatory that the manufacturers and importers

our nominated partner for physical and chemical testing.

are informed.

Our operations must be compliant with all regulations

­relevant to our business. All Nilorn partners are required to sign an agreement stating that the REACH regulation

CALIFORNIA PROPOSITION 65

and Restricted Substances List are complied with. This is a ­non-negotiable requirement.

California Proposition 65 requires businesses to provide warnings to Californians about significant

REGULATIONS

exposures to chemicals that cause cancer, birth

As many of our clients act on a global market, there are

­defects or other reproductive harm. These chemicals

California Proposition being two of them.

their homes or workplaces, or that are released into

can be in the products that Californians purchase, in

­several regulations to consider in production. REACH and

the environment.

Businesses are required to provide a ‘clear and ­reasonable’ warning before knowingly and i­ntentionally exposing anyone to a listed chemical, unless the ­business can show that the anticipated exposure level will not pose a significant risk of cancer or is ­significantly below levels observed to cause birth defects or other reproductive harm. Currently, the ­California ­Proposition 65 list of chemicals has grown to more than 900 chemicals and will continue to expand as new chemicals are added.

25

3

F O C US AR E A - E M P LOYE ES

Packaging I N S IG HT: WOR K I NG W ITH P RODUCT G ROU P PACKAG I NG

At Nilorn we see a growth in our packaging product range. In 2017, Isabel Ip joined us as Senior Product Development Executive, with a background in the packaging field. Later, in 2018, Peter Collins joined as the Group Packaging Manager.

CHALLENGING PRODUCT GROUP With a total of 40 years of experience in the packaging ­industry

the c­ hallenges. Packaging

very valuable knowledge and skills into our business. Peter’s

case by case. It ­involves

between them, both in design and production, they bring

­takes a ­longer time to ­study,

­journey with us has so far focused both on ­external ­dialogue

­different ­components for

with our clients and on internal dialogue and t­ raining for our

one p ­ roduct, so we need

sales teams. Isabel, based in Nilorn East Asia in Hong Kong,

to spend a lot of time

liaises and negotiates with different factories, clients and

­discussing with ­suppliers

overseas salespersons to find the best co-operative ­solution

about the f­easibility of

in ­ product development, overcoming and solving any

­construction, finding the most ­workable and energy ­efficient

­problematic i­ ssues - always with the clients’ needs in mind.

way for p ­ roduction. So, p ­ eople-power, new materials

­innovation, quality assurance and supplier ­performance are

“It is clear that the clients are interested in more sustainable

the challenges at the moment.

materials, not the least when it comes to plastics. But, at times,

their expectations may come in conflict with what is ­available

“Most importantly, we are not sitting around waiting. We are

at a competitive price in the supply chain. So, l­ooking ahead,

very pro-active, testing new concepts and offering samples

Nilorn will focus more on establishing a supplier base that

to clients, to at least initiate a dialogue on how we can move

can better meet existing and future demands. We already

­together in a more sustainable direction” Peter adds.

have good possibilities to meet consumer demands for ­paper-based material” says Peter.

HIGH AMBITIONS It is clear that Isabel, Peter, product developers and our ­sales

“There are success stories and there are challenges”

account managers have high ambitions. “We would like to

says I­sabel. “We recently helped a UK brand replace a

think that our current and future clients would look to us

­conventional plastic bag with

for all their specialist packaging needs. And that they would

a more s­ ustainable ­material

know that we have taken into account the current and future

with ­ unique features. We

impacts, the ability for them to be recycled and that it is a­ lways

worked hard to ­encourage

the best choice compared to an alternative packaging.”

suppliers to fulfil our ­requirements, combining

“We only have one planet. It is as simple as that” says Isabel.

a more s­ustainable mate-

To make a contribution to the developments of better products,

rial, of high quality but

we will continue to explore different suppliers and solutions

still at a competitive price.

to reduce use of non-recyclable plastics and facilitate r­ ecycling.

With trials and ­ errors

We will also ensure proper labelling to help consumers

­behind us, it became a

­dispose of waste in the right way. Continuing to pay attention

success!” This success ­

to new technologies for developing sustainable ­materials and

story also well describes

­packaging products will be the key to our success.

26

I N S I G HT: O U R PAC K AG I N G P R O D U CT R A N G E

PETER COLLINS:

“Clients are increasingly aware of their usage of packaging materials and the potential damage those may cause once they enter the waste streams. With the advent of greater environmental concerns from clients our challenge will be to offer more sustainable alternatives, reducing footprints, whilst maintaining an aesthetically and commercially pleasing solution�

27

3

F O C US AR E A - E M P LOYE ES

Our employees The success of Nilorn is directly linked to the ability to empower and invest in our employees to be ambassadors for our brand.

Nilorn wants to continue to be an attractive employer in all

is recognised as a strength and is to be a natural part of the

with work environment, education and safety. We want our

employees is a strong competitive advantage and to do that

countries where we have offices and production. We work

Nilorn organisation. Attracting and retaining highly skilled

employees to enjoy a long career with Nilorn.

we need to offer an excellent work ­environment.

Capacity building and training is arranged locally in each

Several i­nitiatives for a better work environment have

Safety training. Skills development is an area we want to ­focus

in ­Portugal, energy efficient ­IT-equipment in Belgium and

country, for example First Aid and Occupational Health and

been taken - some examples are a renewed cooling system

more on, as well as training in the CSR and ­sustainability field.

­adjustable sit-stand desks in Sweden. Some actions that were taken in 2018 ­include Nilorn East Asia ­providing ­contribution

Our induction program shall ensure that new e­ mployees

to local gym membership, the ­Belgium office ­introduced an

­receive a broad understanding of Nilorn and how we ­operate,

exercise time on Fridays and several offices now provide

the Code of Ethics and Business Conduct - the practices a

they are engaged and know that their work matters. All

it sets the tone for our collaboration. Part of the ­program is

fresh fruit. We regularly seek employees’ ­opinions, to e­ nsure

­Nilorn employee should be guided by daily. In 2019, there

­employees are offered a­ nnual performance reviews.

will be an updated and more detailed ­introduction to CSR and sustainability added to the program.

EMPLOYEE ATTENDANCE* %

Nilorn continues to grow and employee headcount i­ ncreased

9% in 2018. This growth is due principally to recruitment in ­Bangladesh and Hong Kong.

Nilorn aims to be an employer of choice by offering a more

2016

2017

2018

97.8%

96.3%

96.1%

* Absenteeism is tracked locally in accordance with regulations applicable in the different countries where Nilonr operates. The Company does not have a ­harmonised system for managing absenteeism throughout its subsidiaries.

sustainable, caring and safe working environments. ­Diversity

28

3

FO C U S AR EA - E M P LOY E E S

GENDER DISTRIBUTION

Number of employees: 482

ALL EMPLOYEES

WOMEN 44%

MANAGEMENT

MEN 56%

WOMEN 15%

BOARD

MEN 85%

WOMEN 50%

MEN 50%

Employees - per country EMPLOYEES

WOMEN

MEN

100

80

60

40

20

0

COUNTRY BANGLADESH BELGIUM

CHINA

DENMARK

ENGLAND

GERMANY

HONG KONG

29

INDIA

PAKISTAN

PORTUGAL

SWEDEN

TURKEY

NILORN CORE VALUES • Passion • Innovation • Respect • Common Sense • Responsibility • Execute • Teamwork

Business Conduct The core values are the practices a Nilorn employee should be guided by daily, in all work situations. They form a common platform and strengthen our teamwork. Together with our Code of Conduct and other ethical guidelines, they guide how we conduct our business and clearly show what we stand for as a company.

BUSINESS ETHICS

NILORN CODE OF ETHICS AND BUSINESS CONDUCT

Nilorn’s anti-corruption policy includes not accepting gifts

This code provides a guide to the values, behaviours and

it should take place with full transparency and in a manner

such as:

or other benefits from our partners. If ever gifts are accepted,

ways of working for all Nilorn employees, including areas

that follows the organisation’s policy. All employees,

• Compliance with laws and regulations

including new employees in 2018, have signed the anti-

• Respect in the workplace

corruption policy. During the year, Nilorn had no reported

• Protection of company property

cases of corruption.

• Professionalism

30

3

FO C U S AR EA - E M P LOY E E S

Travel Nilorn is operating in many parts of the world. Business travel is one of our largest sources of emissions, and air travel generates more emissions per kilometre travelled than any other mode of transport.

• Staff travelling 495 tonne CO2e

In 2019 we will work more intensively to minimise the ­impacts

of our business travels. In 2018 we decided to ­compensate for the emissions caused by our yearly sales conference.

TRAVE LLE D K K M

We will remind our staff to focus on sustainable travel

options and when possible, travel less and make use of our

2018

2017

smart IT-solutions with Skype for Business and TEAMS

AIR

1751

1971

-11%

requires changes - one example is the charging stations for

CAR

1092

1151

-5%

online meetings facilities. New means of travelling also electrical cars installed in Nilorn Sweden.

31

3

F O C US AR E A - E M P LOYE ES

Villa Nilorn After 2010 when the main production units was centered to Hilden, Germany. The Belgian office, resulted in less ­employees and the need for a smaller workplace. Three years ago the team in Nilorn Belgium have found themselves a nice, homely office at ‘Villa Nilorn’.

Until seven years ago, Nilorn Belgium still had a production

quest for a new place. Taking into account the design aspect

the Belgian subsidiary produced woven and printed labels

exciting. Within an hour, he stumbled upon a spacious, red

unit, as well as an office. Under Nilorn Nominette Ruga,

of the company, Bart hoped to find something unique and

locally and had stock holding facilities. From 2002 to 2010, all

and white villa from the 1930s situated outside the city of

production and stock were slowly scaled back, with looms

Ghent, close to the main road, with good connections to

and machines being moved to other Nilorn production units.

Brussels and Antwerp - exactly what Bart was looking for.

From 2010 onwards, the main stock location for Europa was Hilden, Germany.

In March 2011, the Belgian team could finally move into

Since then, Nilorn Belgium has evolved from being a purely

homely kitchen and the former living and bedrooms used

the newly renovated ‘Villa Nilorn’. With a large garden,

production-oriented company to a fully fledged service

as offices, it was most definitely not just a standard office.

company, offering a wide variety of products and services.

The house warming party in December 2011 proved to be a

This covers design, product development and production, but

great success. With each room decorated in accordance with

also the worldwide distribution of all types of branding items

a new collection.

such as woven and printed labels, wood, metal, packaging

and accessories. That change in focus, and the omission of

Consisting of 11 employees, two of whom work from home

less employees and the need for a smaller workplace. At that

diverse and enthusiastic team. Although the company may be

local production and stock at the Belgian office, resulted in

in the Netherlands, Nilorn Belgium makes for a small but

time, the office environment was evolving and companies

divided over two countries, Bart makes sure there are plenty

started stepping away from traditional, rather impersonal

of occasions for collective activities amongst the colleagues.

offices, to warmer and more homely workplaces.

There is the yearly Christmas dinner, the company trip to music festival Tomorrowland and the Nilorn summer party.

With this in mind, Bart Van Trimpont, who had just been

Fresh fruit in the office and lunch break walks on Fridays are

assigned Managing Director of Nilorn Belgium, started his

other initiatives.

32

BART VAN TRIMPONT, MANAGING DIRECTOR NILORN BELGIUM:

“Not only do the new desks fit our old villa perfectly, but also we created a better working environment with less environmental impact�

Sustainability in practice RE-USE IN NILORN BELGIUM

In order to enhance working ergonomics and to encourage staff to be more agile, Nilorn Belgium decided to re-design

their office desks. Instead of purchasing new desks, the existing desks were converted into a sit-stand desk just by re-designing them with an electrical frame. An additional

advantage is that staff now have more meetings at a standing position instead of sitting - which again improves activity and shortens the meetings at the same time. The leftover table legs

from the existing desks will be re-used by a local carpenter and transformed into furniture for the office.

33

Traceability for sustainability Clients are giving more priority to sustainable practices and we see an increase in the use of different labels where clients want to communicate about their sustainability work. With labels and hang tags we can help our clients strengthen their brands and products. The products can also be an important part in enabling brands and consumers to trace their products back in the supply chain.

Eco-labels and other certification schemes are a way in which

It is becoming increasingly common for brands and

along the production chain, making the consumer more

sustainability work, for example, for a specific collection

our clients can communicate their focus on responsibility

retailers to have their own labelling to communicate their

aware about their purchases. Consumers want to support

or on all garments. It is important to be clear with what the

brands that are doing good in the world, with 66 percent

labeling means. There are also the established labels, with

willing to pay more for sustainable goods and some 42

requirement specifications and control of third parties. At

percent of millennials say they want to know what goes

the same time as our labels are communicating a client’s

into products and how they are made before they buy1. But

message, they can also be a certified product in themselves.

according to a study2 2 out of 3 Swedes find it difficult to

At Nilorn we can certify our products, such as labels, buttons,

know which eco-labels really guarantee that the clothes are

accessories and other product groups, described below. In

produced in an environmentally sound manner.

2018 we added GOTS to our range of certified products.

OEKO-TEX® 100 (class 1) The STANDARD 100 by OEKO-TEX® is an independent test and certification system for textile raw, intermediate and end products, at all stages of processing. Examples of products that can be certified are yarns, woven and knitted fabrics, accessories (such as buttons and labels) and ready-made articles.

The OEKO-TEX® tests for harmful substances are

carry out random checks of companies holding OEKO-TEX®

fundamentally based on the respective purpose of the ­

certificates, in the form of unannounced inspections.

controlled substances, chemicals known to be harmful to

Nilorn holds an OEKO-TEX® certificate for textile ­production

for health p ­ rotection. Testing is geared towards how the

factories. We hold certification for product class 1, the ­highest

­textiles and materials and they cover: legally banned and health (but not yet legally controlled) and other parameters

and accessories, produced both in our factories and s­ uppliers’

level. Further to the Nilorn OEKO-TEX® Standard 100 Class 1

­textile will ­actually be used, the more closely the product is

in contact with the skin, the stricter the requirements. Class

in appendix 4, both Nilorn and some suppliers have ­upgraded

1 is the h ­ ighest level.

to appendix 6 standard for ­certain products. The difference between the two appendices is l­imit values and inclusion of

The OEKO-TEX® Association conducts annual control

chemicals. The appendix 6 c­atalogue was created for those

testing of certified products, at a rate of at least 25% of all

who are either participating in the ­Detox campaign or wor-

certificates issued. It tests articles bearing the OEKO-TEX®

king with clients who have this d ­ emand on their p ­ roducts and

label that are available in retail shops and also samples of

supply chain. Nilorn is c­ ontinually working to improve our

materials from factories. In addition, independent auditors

environmental impact and appendix 6 is one of those ways.

34

1

The State of Fashion 2019, The Business of Fashion and McKinsey & Company

2

Miljömärkning Sverige, Gröna märkningar – en djungel?

bluesign

SYSTEM PARTNER

®

The bluesign® system puts the whole production chain in focus. It has focus both on the product itself in terms of sound materials but also the chain of production - from raw materials to finished products. — The certification covers: resource, productivity, consumer safety, water emissions, air emissions, occupational health and safety.

As of 2013, the Nilorn group is a bluesign® system partner.

of materials and processes. The additional steps required

2012 and, in 2017, Nilorn East Asia in Hong Kong started the

­handling and wastage.

textile accessories and the article range ‘printed care labels’.

We continually work with bluesign® to increase our ­portfolio

by ­bluesign® are now part of our daily work in selection,

Our production facility in Portugal has been certified since screening process and received the

bluesign®

certificate for

of bluesign® approved product.

ERICA WONG, PRODUCTION MANAGER NILORN EAST ASIA

THE ASSESSMENT OF A FACTORY ENTAILS THE

“The bluesign® system has increased

­F OLLOWING STEPS:

our knowledge of our environmental

● An evaluation of the production site, focusing on the use

impact bringing to light factors we

of chemicals, the working conditions, environmental impact

had not considered but are now part

● Based on the detailed assessment, a report on the findings

and water and energy consumption.

and an action plan with necessary measures are drawn up.

of our every day”

● Once all necessary measures have been implemented,

At Nilorn we find the increasing focus on

to be

the products can be approved according to the bluesign®

approved

of hazardous chemicals, changes in operation, installation of

bluesign®

a very positive trend and we welcome more of our clients

­system. These measures could include: eliminating the use

­products. The certification of bluesign® has improved our

air and water cleaning systems, improvement of personnel

to join this initiative and choose

bluesign®

safety and an overall improvement in house-keeping.

­overall ­environmental impact and procedure in the selection

People C onsumer Safety Occupational health and safety

Environment W ater emissions A ir emissions W aste Soil

Resources Energy, water, chemicals, raw materials Benchmark

bluesign® system Risk minimization Reduction of impacts Protection of people an the environment Resource productivity

The bluesign® system focuses on resources, people and the environment. With its holistic approach based on Input Stream Management, the bluesign® system reduces the impact on people and the environment, ensures responsible use of resources and guarantees the highest level of consumer safety. The most stringent criteria and monitoring of on-site implementation encourage companies along the entire textile value chain to improve their sustainability performance. Read more at www.bluesign.com

35

”Adding value to your brand” Recycled Claim Standard/Global Recycle Standard Products made of partly or fully recycled materials are increasing in the business of trims and accessories. We are investing more resources in searching for new, more sustainable materials for our products and recycled materials are an important part of our more sustainable offerings. Third party certification of claims of recycled content increases credibility in the market.

Polyester is the most common synthetic fibre in ­textile

At Nilorn we have decided to have recycled materials third

­products. The disadvantage of polyester is that it is an

­Recycled Claim Standard (RCS) or Global Recycle Standard

manufacturing and the one we use most for Nilorn’s ­ ­oil-based material, not from a renewable source. At the

same time, the advantage of oil-based materials is that it is relatively easy to recycle them and today there is

an ­increased focus on recycled materials to reduce both ­landfill and littering of oceans. Polyester can also be

­recycled many times. Most recycled polyester comes from PET b ­ ottles - a clean, easy product to recycle. Using

­recycled materials can be a part of a product’s liability, but

party certified, in accordance with the Textile Exchange

(GRS) - standards for tracking and verifying the content of recycled materials in a final product. The RCS verifies the

presence and amount of recycled material in a final product through input and chain-of-custody verification from a third

party and the GRS is used to verify the recycled content of products and also includes responsible social, e­ nvironmental and chemical practices in the production.

it is of course not only the choice of materials that affect it.

We see an increasing interest from our clients to use such

aspects to c­ onsider. Providing recycled materials requires

with transparency. Examples of recycled content in Nilorn

­Design, production, waste and transport are all important traceability and ­origin.

materials and this is an important part in our aim to work products are polyester, paper and plastics.

3636

GOTS The Global Organic Textile Standard (GOTS) is a processing standard for textiles made from organic ­ ­fibres. It defines high-level environmental criteria along the ­ entire organic textiles supply chain and requires ­compliance with social criteria as well.

GOTS is the stringent voluntary global standard for the ­entire post-harvest processing (including spinning, ­knitting, weaving, dyeing and manufacturing) of apparel and home

textiles made with certified organic fibre and includes both

environmental and social criteria. Key provisions include a ban on the use of genetically modified organisms, ­highly

­hazardous chemicals, and child labour, while requiring strong social compliance management systems and strict waste water treatment practices. We are able to deliver GOTS certified printed cotton ribbons and labels.

FSC FSC stands for ’Forest Stewardship Council’, an international non-profit organisation dedicated to ­ ­promoting responsible forestry.

FSC certifies forests all over the world to ensure they meet

the highest environmental and social standards. Products ­carrying the FSC label are independently certified to assure

consumers that they come from forests that are managed to

meet social, economic and ecological needs. Our FSC chain of custody certification provides a framework to promote ­responsible forest management.

We see an increased interest from clients in using FSC

­certified paper. With our FSC certificate for Nilorn East Asia and Nilorn Shanghai we report the delivered ­quantities to the FSC Secretariat. There was a 30% increase in the amount

of FSC labelled products sold in 2018 and FSC certified

paper’s share of the paper product groups was 13%. We see

the same trend in the production of FSC labelled ­products produced at external production units, but this statistic we are not able to follow with our current business system.

TINA STRIDDE, MANAGING DIRECTOR OF THE AID BY TRADE FOUNDATION:

“Every piece of textile that bears the CmiA label is a step in the right direction. Because every CmiAlabelled product protects the environment and supports millions of people in Africa in creating a new perspective for themselves in their home countries�

CmiA FACTS 2018 CmiA smallholder farmers

999,425

thereof CmiA female farmers

16%

CmiA ginnery workers

12,362

thereof permanent workers

18%

CmiA production countries

9

CmiA acreage overall (in hectare)

1,780,000

Average hectareage per farmer (in hectar)

1,75

CmiA lint cotton production overall (in mt)

580,000

Eco-Footprint of CmiA

1 liter of water for CmiA in comparison to 2,120 liters of water to the global avarage.

Up to 40% less greenhouse gas emissions1

CmiA retail partner and brands

46

CmiA labelled textiles (in million)

103

Data refer to one kilogram of cotton. Water usage: in comparison to the global average; greenhouse gas emissions: in comparison to conventional cotton (Source: PE INTERNATIONAL)

1

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Social Engagement C OT TON MADE I N AF R ICA – H E LP I NG P EOP LE H E LP TH E M S E LVE S TH ROUG H TRADE

Cotton made in Africa (CmiA) is an Aid by Trade Foundation initiative and an internationally recognised standard for sustainable cotton from Africa. Since its creation by Dr. Michael Otto in 2005, CmiA has set itself the goal to protect the environment and help Sub-Saharan African smallholder cotton farmers and ginnery workers, to improve their living and working conditions. To put this aim into practice, an alliance of international textile companies and brands built up

by CmiA, purchase the CmiA certified sustainable cotton, integrate it into their respective textile value chains and pay a license fee to the foundation to use the seal.

Today there are more than 40 brands and retailers

to school instead of doing demanding work on the farm that

­farmers and some 12,000 factory workers in the so-called

the entire ­family in the long run. Additionally, female ­cotton

participating in CmiA. About one million smallholder ­

is ­harmful for them. They learn that good schooling helps

cotton ginneries are currently part of the CmiA program.

­farmers are promoted through special programs which

In 2018, about 580,000 tons of certified CmiA cotton was

­enable them to realise their own business ideas, earn money

­produced pursuant to the CmiA sustainability criteria. CmiA

in a group and invest their group income for social ­welfare –

is active in Cameroon, Burkina Faso, Ethiopia, Ghana, Ivory

e.g. to ­support elderly ­people or orphan children.

Coast, Mozambique, Zambia, Tanzania and Uganda.

In October 2018 Cotton made in Africa organised a visit to the

CmiA has developed a standard based on social, environ-

Turkish textile industry. On invitation of CmiA, a ­delegation

mental and economic criteria and targets. The initiative

of African cotton producers travelled to Turkey to learn

has developed a set of criteria defining sustainable cotton

more about the processing of their raw material. The aim of

production at both farming and cotton gin level. The CmiA

the trip was to promote the exchange between the ­different

standard includes exclusion criteria (e.g. felling of primary

stages of textile value creation, which usually have very

forests, use of genetically modified seeds, child labour or the

little or no contact with each other. The visit c­ ontributed to a

use of dangerous pesticides) as well as development criteria

better understanding of the needs of the textile industry on

(e.g. proportion of women among farmers trained). C ­ otton

the one hand and the challenges of cotton producers on the

made in Africa supports the participating ­ smallholder

other. Nilorn is a partner of CmiA, providing all ­standard

­farmers in continually improving their know-how when it

CmiA hangtags and woven labels, and we participated in

comes to cultivating sustainable cotton. The organisation

the Regional Cotton Producer & Partner Meeting that took

achieves this through organising training courses in which

place during the visit, together with producers and retailers.

the farmers learn efficient and environmentally ­sustainable

cultivation techniques. In the so-called farmer business schools’, participants learn a great deal about efficient

The red CmiA label on the product shows

and sustainable farming methods. Through this diverse

the consumer that with his purchase he

­training program, farmers can increase yields and thereby

income. The C ­ miA-training not only conveys knowledge

has done something particularly good for

more e­ nvironmentally friendly, but also raises awareness

and the environment. In 2018 about

or ­gender equality. The participating smallholder farmers

were put on the market, an increase

about how to manage a cotton farm more economically and

the people in the producing countries

among the rural population for topics such as child labour

103 million CmiA labelled textiles

gain an ­understanding about why their children should go

of 14% compared with 2017.

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Hong Kong Business-School SwedCham Hong Kong Partnership Programme

The Swedish Chamber of Commerce in Hong Kong was ­established in 1986. The ­objectives for the Chamber are: to promote, study, ­extend, advance and protect ­business

The Business-School Partnership Programme (BSPP) was

­relations, ­investments and interests of Swedish and ­other

first launched in 2005. The aim of BSPP is to promote ­better

co-operation and closer alliances between the b ­usiness

­o rganisations in Hong Kong. SwedCham participates

to gain a wider perspective of the world so that they can

which provides a s­ ounding board and forum for lobbying

by Hong Kong ­General Chamber Council, Nilorn East

with the Government on matters of interest for Chamber

actively in IBC, the I­nternational Business Committee, ­

­sector and schools. It leads students out of the classroom get ­ prepared for life in society.

and d ­ iscussion for international business representatives

With the a­rrangement

­members. Nilorn East Asia has been a member since 2017.

Asia p ­articipated in the “Business School Partnership ­Programme” 2018 and partnered with 12 students from

Heep Yunn Secondary School. The programme included 3

The Australian Fashion Council

days of meetings and gave the students an idea of what it

was like working in the dynamic and competitive business

of Nilorn. The students got the opportunity to test several

departments and task assignments such as quality control,

packaging and ­warehouse. As a final project, the students

The AFC is a not-for-profit membership organisation and

presented new and innovative product development ideas

­exists to promote the growth of the textile & fashion industry

focusing on recycled materials.

in Australia. Nilorn became a member in 2018.

One student, Yung was fascinated to learn about the

­Corporate Social Responsibility (CSR) programme at ­Nilorn.

“I had learnt about CSR from textbooks, but it was not

The Swedish Textile Importers Association

until I listened to the staff that I really understood what it

means. Noting that CSR is a key part of Nilorns operating ­philosophy, I hope to work at a company which values CSR when I graduate”.

The Swedish Textile Importers Association provides

APPLE CHAN, MARKETING MANAGER NILORN EAST ASIA:

­importers of ­textiles and related businesses with industry-

“We were impressed by the work by the students and the ideas they presented. We look forward to be involved in this project again”

specific ­service, ­helping us to keep track of important

­regulations and i­nformation, such as customs duties, rules of origin, free trade agreements and CSR. Nilorn has been a member ­since 2004 and our Sustainability Manager has been a board m ­ ember since 2017.

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Teko

UK Fashion and Textile Association

TEKO is the Swedish trade and employers’ association for companies working in the textile and fashion industry,

­approximately 200 member companies. They represent the sector, both nationally and internationally, in all questions

of common interest and inform clients, suppliers, media,

UK Fashion and Textile Association (UKFT) is a British

and clothing industry, its companies and its products. An

designers, manufacturers, agents and retailers to promote

the public and the government about the Swedish textile

­network for fashion and textile companies, bringing ­together

important task is to supply information and service to the

business and industry in the UK and throughout the world.

member companies. TEKO is also the national member for

UKFT has a unique position, representing ­businesses from

Sweden to GINETEX – the international association for care

spinning, weaving and knitting, right through to catwalk

labelling. Sustainability is one of TEKO’s focus areas and is

and aftercare. UKFT is the UK representative of ­GINETEX,

high on the agenda. The work has been conducted in TEKO’s

the international association for textile care labelling. Over

Environmental and Energy Group since the ­early 1970s, the

2,500 companies hold a membership and by being a ­member

group includes member companies but also a­ uthorities, and

we at Nilorn get access to industry-specific b ­ usiness

Nilorn participates in this group.

­information, export advice and networking.

Stakeholders We take part in many stakeholder groups in a variety of settings across the Nilorn organisation. Commitment to ongoing stakeholder engagement is a core component in our sustainability strategy. We aim to have an open communication, to listen and to learn from others and it is necessary to allow all groups to co-operate for a more sustainable industry. We want to provide stakeholders with relevant and comprehensive sustainability reports.

STAKEHOLDER GROUP

MEANS TO COMMUNICATE ABOUT SUSTAINABILITY

PRIORITISED AREAS

CLIENTS

Dialogue, meetings, e-mails, magazine

IT-solutions, Code of Conduct and audits, sustainable materials

EMPLOYEES

Meetings, trainings, Intranet

Product materials, training, health

INVESTORS

Reporting, meetings

Business ethics, implementation of policies, risk management

SUPPLIERS

Meetings, e-mails, fairs and events

Business relationship, sustainable materials

NGOS

Initiatives, conferences

Raw material, labour, wages

INDUSTRY

Memberships, working groups

Chemicals, trade, recycling

41

GOAL:

To exceed our clients’ expectations in all aspects of our global operations

42

Sustainability risks Nilorn’s risk management approach follows our decentralised structure and the same applies to our sustainability risks. All managers at Nilorn with operational responsibilities are expected to ensure that risks associated with their operations are appropriately identified, evaluated and managed.

RISK CATEGORY

RISK DESCRIPTION

RISK CONSEQUENCES

RISK MITIGATION

COMPLIANCE

Risks that legal and regulatory requirements are not met Risk of corruption, especially in high-risk countries.

Negative reputaional and/or financial impact.

Nilorn has a group governance framwork and compliance include anti-bribery and corruption policy. Establish appropriate procedures, monotoring and reporting to prevent violation of laws, corruption or handling of personal data. 3rd party social audit at own p ­ roduction units.

Training of staff.

HEALTH & SAFETY

Injuries or workrelated sickness at Nilorn own production sites or at supplier sites.

Fatal accidents, serious injuries or long-term absenteeism at production sites. Risk of legal and financial conseqences if OHS has been managed poorly. Risk that employees find the work environment unsatisfactory, resulting in difficulties to retain and recruit. Reputational risk if poor safety conditions exist in the company,resulting in damage to our brand.

3rd party social audit at own production units. Continue to build a common H&S culture and effective management systems.

ENVIRONMENT

Managing increased demand of more environmentally conscious products by our clients. Increased demand to understand climate change effect on both internal and external operations. Use of chemicals in production process.

Risk of loosing clients. Not being able to meet clients’ ­expectations on our operations and/or ­products with regards to ­environmental performance and new materials. Risk of problems with supply due to climate related incidents. Risk of soil and water contamination.

Focus on improved efficiency to minimize environmental impact in our own operations and in supply chain, bluesign certification being one method. Keep high awareness of new regulations and market demands. Apply framework for handling chemicals adapted to EU legislation Reach and apply Nilorn Restricted Substance list.

SUPPLY CHAIN

Risk of suppliers not ­complying with the Supplier Code of ­Conduct and not following ­national laws and regulations.

Negative reputation and risk that we do not live up to the ­requirements of our clients.

Delays in delivery and increased costs.

Continue to build strong supplier relationships. Increase awareness of Code of Conduct, environmental requirements and other policies. Own and 3rd party audits of suppliers. ­Consolidate and focus on ­preferred suppliers.

43

OUR WAY FORWARD “During 2018, the range and the importance of the ­sustainability issues at Nilorn became clear

to me. Not the least how connected these ­issues are to our c­ urrent and f­ uture success. It is e­ xciting

to be involved in everything from searching for

new m ­ aterials to d ­ iscussions about e­ nd-of-life ­alternatives, from ­performing supply chain a­ udits

to collecting e­ nvironmental data from our sites.

But it is, of course, also challenging. We have to make daily choices to act with r­ esponsibility and we have to ­support our ­clients’ in their journey

as well. The f­ocus is to s­ trengthen my colleagues

in making s­ustainability an ­ integral part of

everything that we do, today and going forward.”

Anna-Karin Wårfors, Sustainability Manager.

“Working in Nilorn East Asia and based in Hong Kong ­enables me to establish a close r­ elationship

with ­suppliers as the majority of the supply base is

in Asia. In 2018 we did over 70 visits to ­production

units, and our focus for 2019 is to ­undergo SMETA audit in all Nilorn own p ­ roduction ­facilities and

at the same time benefit from the advantage of ­being a SEDEX A/B-member.”

Cheryl Hall, Supply, Sourcing and CSR Manager

FOCUS IN 2019:

• Transportation – mapping and measuring transportation • Enlarged product offer in recycled materials • Skills development of employees, training in CSR and Sustainability • Further integrate Sedex in the supply chain

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Data Summary 2018

2017

CLIENTS Number of clients

>1400

Users of web order system

9400

FSC certified paper share of paper product groups in Nilorn East Asia and Nilorn Shanghai*

13%

11%

180

220

0

0

>70

–

72

–

131

127

30

3

1040

1220

91

100

Waste sent to reuse or recycling

50%

22%

Water consumption Nilorn production units m3

5354

–

482

444

- whereof women

210

208

- whereof men

272

236

New employees

101

–

Employee attendance %

96,1

96,3

100%

–

Cases of suspected or confirmed breaches of anti-corruption polic

0

0

Number of work related injuries (no fatalities)

4

5

Training hours/employee

9

–

2739

3522

Air travel continental km/employee

894

918

Staff travelling tonne CO2e

495

540

PRODUCTION AND SUPPLY CHAIN Number of suppliers Number of delisted suppliers due to non-compliances Internal inspections Purchase volume % from external suppliers with 3rd party social audit NILORN OFFICES AND PRODUCTION UNITS: Energy Kwh/m2 Renewable electricity/m2 Energy consumtion tonne CO2e Waste (tonnes)

EMPLOYEES Total number of employees

Employees signed anti-corruption policy

Air travel inter-continental km/employee

* With our FSC certificate for Nilorn East Asia and Nilorn Shanghai we report the delivered quantities to the FSC Secretariat. We see the same trend in the production of FSC labelled products produced at external production units, but this statistic we are not able to follow with our current business system.

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Headquarters NILÖRNGRUPPEN AB Wieslanders väg 3 Box 499 501 13 Borås SWE DE N Tel. +46 33 700 88 88 info@nilorn.com www.nilorn.com

Subsidiaries & partners NILÖRN AB Wieslanders väg 3 Box 499 501 13 Borås SWE DE N Tel: +46 33 700 88 00 info@nilorn.com

NILORN GERMANY GMBH Itterpark 7 40724 Hilden G E R MANY Tel:. +49 2103 908 16 0 Fax: +49 2103 908 16 99 info@de.nilorn.com

BALLY LABELS AG Schachenstrasse 24 CH-5012 Schönenwerd SWITZ E R LAN D Tel: +41 62 855 27 50 Fax: +41 62 855 27 59 info@bally.nilorn.com

NILORN INDIA PVT. LTD Plot no. 9c, Sector – 3 Parwanoo – 173220 (H P) I N DIA Tel. +91 1792 235232 Fax +91 1792 233176 info@in.nilorn.com

NILORN BANGLADESH LTD. Plot 1361, 5th and 6th fl.

Avenue 10 Mirpur DOHS Dhaka -1216 BANG LADESH Tel: +88 02 8835912 Fax: +88 02 8835913 info@bd.nilorn.com

NILORN ITALY Via del Bramante 34 41012 Carpi (MO) ITALY Tel: +39 3381611351 info@it.nilorn.com

NILORN BELGIUM NV Brusselsesteenweg 525 9090 Melle B E LG I U M Tel: +32 9 210 40 90 info@be.nilorn.com NILORN DENMARK A/S Kongensgade 31B 5000 Odense C DE N MAR K Tel: +45 70 23 16 23 info@dk.nilorn.com NILORN EAST ASIA LTD Unit 1701, 17/ F, Westley Square 48 Hoi Yuen Road, Kwun Tong Kowloon HONG KONG Tel: +852 2 371 2218 Fax: +852 2 371 2629 info@hk.nilorn.com

NILORN PAKISTAN (PVT) LTD 2nd Floor, Yasir Chambers Gulshan –E-Iqbal, Block 13A Main University Road P.O. Box 75300 Karachi PAKISTAN Tel: +92 21 349 92151 Fax:+92 21 349 92153 info@pk.nilorn.com NILORN PORTUGAL – INDÚSTRIA DE ETIQUETAS, LDA Rua Central de Barrosas, 304 4585 - 902 Recarei – Paredes PORTUGAL Tel: +351 22 411 95 80 Fax: +351 22 411 95 99 info@pt.nilorn.com

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NILORN SHANGHAI LIMITED Rm 701, 288, Chengjiaqiao Road.

Minhang District, Shanghai, CH I NA Poastal Code 201103 Tel: +86 21 345 512 90 info@sh.nilorn.com NILORN TURKEY Baglar Manhallesi 49 ģ Sokak No:50 Kat:3 Bagcilar/ Istanbul TU R KEY Tel: +90 212 657 76 76 (pbx).

Fax: +90 212 657 75 10 info@tr.nilorn.com NILORN UK LTD 1A Acre Park Dalton Lane Keighley West Yorkshire B D21 4J H U N ITE D KI NG DOM Tel: +44 1535 673 500 info@uk.nilorn.com NILORN USA LLC 3499 Meier Street Los Angeles, CA 90066 U N ITE D STATES Tel: +1 888 315 1875 info@us.nilorn.com

Cover photo: By Sulkifli Yunus Unsplash Production: Nilorngruppen in cooperation with TomorrowToday Paper: Edixion Printing: Stema

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